Compensation

The Newspaper and Mid South enter into a trial NIE sales program where Mid South’s sales force will call on merchants to adopt and sponsor local schools (classrooms) for The Newspaper’s NIE program.

Click the links below for specific details:

• Sponsor Compensation and Responsibilities
• Newspaper Compensation and Responsibilites
• Mid South Compensation and Responsibilities
• Co-Responsibilities

Sponsor Compensation and Responsibilities

Each sponsor will agree to purchase 25 to 30 newspapers (the average classroom size) one day per week, for 36 weeks. An optional and lesser sale amount (18 weeks) will also be made available. Each merchant sale will be for a minimum term (18 or 36 weeks) regardless of when the sale is made; the term of the sponsorship could fall into the next school year.

Each merchant that contributes $250 or more in funding will receive a custom plaque honoring the merchant for supporting the NEWSPAPER’S NIE program. The type of recognition varies with the amount of the sponsorship.

Merchants who contribute $125 to $249 {our minimum sale is $125} will receive a “framed in glass” certificate of appreciation. A series of ads conforming to Audit Bureau Circulation guidelines will also run randomly in the NEWSPAPER recognizing each merchant as a “partner in education” and supporting the NIE program.

A minimum number of ads will be promised to each participating merchant. An NIE page with listed recognition ads could be used as “filler” with little or no cost to the NEWSPAPER. Content of the ads may vary, but compliance with ABC guidelines is adhered to in each variation. Additionally, at the NEWSPAPER’S option, various other types of recognition are possible.

Mandatory Considerations

(1) Each merchant sold will be allowed to “select” the school or schools of the merchant’s choice for their sponsorship. If a “school” becomes saturated to a point where no additional papers are required, then THE COMPANY will divert the merchant to a “nearby” participating school, once notified by the Newspaper.

(2) Each merchant sold will also receive “classroom level recognition” on an occasional basis. Newspapers provided at merchant selected schools will be “flagged” periodically during the school year with a list of all merchants who have sponsored classrooms at the merchant selected school.

Other Considerations

Merchants will be allowed to select the school or schools of their choice {unless the school(s) are saturated or sold out} for the sponsorship; however the merchant cannot select an individual classroom or teacher at their selected school, under any circumstance. If a merchant requests a certain teacher or classroom, the Newspaper will make an effort to honor the request; however Mid South will not assure or guarantee the merchant the request will be honored.

If a merchant wants to sponsor a classroom in a school that is not on list of NIE participating schools, then the NEWSPAPER will act punctually and with diligence to make arrangements with the merchant selected school for the sponsorship. This will apply to both private and public schools.

Sponsor Payment Options

Sponsors will be allowed five options to pay for their NIE sponsorships,

1. Actual collection “ at the business”
2. Charged on a debit or credit card(s) accepted by the NEWSPAPER
3. “Billed by mail”, on approved credit worthy sponsor’s or vendors
4. Purchase order (PO) all PO’s to be approved or rejected by the NEWSPAPER.
5. Check by phone (if available)

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Newspaper Compensation and Responsibilities

The Newspaper will deliver or mail all certificates, plaques, or other recognitions such as door decals and, posters to all sponsors. Other incentives are mandatory for major contributors who contribute $500 or more in NIE funding. We provide an outline suggesting additional incentives. The cost of the plaques, certificates, decals, and posters, will be borne by the Newspaper.

THE NEWSPAPER will provide MID SOUTH with a “do not call list” of current NEWSPAPER NIE contributors, and MID SOUTH will sell new business sponsors only. Merchants who contribute on occasion for less than our agreed-upon minimum amount, should not be placed on a “do not call" list.

Mid South Compensations and Responsibilities

MID SOUTH will collect, via their own couriers or contractors, from merchants who request an “at the business” check pick up. A small subsidy (collection commission) will be paid to Mid South as a “collection fee”. The collection fee is not applicable for credit card sales, bill by mail, purchase orders, or check by phone. This fee will be waived if the Newspaper elects to collect from merchants “at the business”.

MID SOUTH will guarantee the NEWSPAPER a positive cash flow, during the “term” of the sales campaign. MID SOUTH’S, cash/check (at the business collections) and credit card merchant sales, purchase orders, or check by phone, will far exceed commissions due and payable each week. The normal ratio is 75% cash up front with just 25% of the merchant sales “bill by mail” We support our commissions with upfront collections each week.

MID SOUTH operates on a commission only program, (depending upon the market) our commission is 55% of the gross sale for new sales, and 40% of gross sale for renewal sales. A subsidized collection fee of a set amount per physical “at the business” collection will also be applicable.

MID SOUTH also operates under a bonus incentive commission program at each NEWSPAPER. The sales incentive bonus is based upon a target figure established by the market.

Co-Responsibilities

The NEWSPAPER and MID SOUTH will share equally the cost and ownership of a business-calling list provided by a national sales lead provider. The cost of the business calling list is 10¢ to 14¢ per downloaded business, split equally between MID SOUTH and the NEWSPAPER. If the NEWSPAPER has their own calling list, MID SOUTH could use the NEWSPAPER’s list, at no cost, provided the list is as accurate and current.

MID SOUTH will provide an “on-site” sales and collection manager at our expense, during the term of this trial agreement. If an on-site manager is provided, the NEWSPAPER will provide MID SOUTH workstations (desk space) at either the main office of the NEWSPAPER, or perhaps in one of the NEWSPAPER's satellite locations. Desk space must include working telephones, and be in an area that is conducive to sales. Voice mail lines will be required and assigned for exclusive use by MID SOUTH during the sales program.